Industry Leaders Expect Promising 2025

Mumbai: India’s Gems and Jewellery industry (GJ) experienced significant developments in 2024, navigating market dynamics and emerging stronger by the year-end. As the year concluded we have received feedbacks from some of the industry leaders about the industry’s performance in 2024 and its outlook of the 2025.

Mr. Saiyam Mehra (Chairman of the All India Gem and Jewellery Domestic Council, GJC):

Saiyam Mehra

“The India Gems & Jewellery Industry is well-positioned for growth, with promising domestic demand, strong export potential, and ongoing transformation through digitalization and sustainability efforts. By 2025, the sector is likely to emerge as one of the key drivers of India’s economic growth, contributing significantly to the country’s GDP and creating millions of new jobs.

The India Gems & Jewellery Industry is set for substantial growth by 2025, driven by a combination of domestic demand, export potential, and strategic initiatives. India’s gems and jewellery market is expected to grow to US$ 100 billion by 2025. The country continues to be one of the largest global hubs for the production, export, and consumption of jewellery. The sector is expected to achieve a compound annual growth rate (CAGR) of 5-6% during this period, underpinned by strong consumer demand, both locally and globally. Though we expect prices of the precious metals to rise further in 2025, it should not affect the overall demand for Gold and Silver, and we are hopeful that it will be better then 2024, as India’s middle class and young population (which forms a significant portion of the consumer base) will continue to drive demand for Gold and Diamond jewellery. The wedding jewellery market will also remain a major growth driver in India.”

Mr. Rajesh Rokde (Vice Chairman of the All India Gem and Jewellery Domestic Council GJC):

“2024 was an excellent year for the jewellery industry, with customers showing a strong preference for affordable and sustainable options. We saw a significant increase in demand for silver jewellery, particularly among the younger generation.

In terms of market trends, gold prices remained volatile, but customer demand remained strong. Silver prices saw a significant increase, driven by industrial demand and investor interest. The diamond market faced some challenges, but we saw a growing interest in lab-grown diamonds and sustainable diamond options.

As we look ahead to 2025, I expect customer demand to remain strong, driven by increasing awareness about sustainability and responsible sourcing practices. I predict a 12-15% growth in gold sales and a 15-18% growth in silver sales. By the year 2025, India is expected to witness over 4 million weddings, which will have a positive impact on the jewellery industry and increase jewellery consumption in the country. Gold in India is viewed not only as a fashion accessory but also as an investment, and this dual role has attracted greater interest from the younger generation toward gold.”

Mr. Amit Pratihari (MD, De Beers India):

Amit Pratihari

As 2024 draws to a close, we consider a year characterized by a steadfast desire for natural diamonds as well as a dedication to creativity and workmanship. Today’s consumers are more conscientious than ever, and hence they are investing in luxury products that hold emotional value and demonstrate an assurance of authenticity. Hence, natural diamonds – valued for their preciousness and enduring significance – have emerged as the preferred choice for consumers.

This year we witnessed a strong trend towards incorporating diamonds into all occasions, as seen in the increased popularity of minimalist and everyday wear diamonds. The younger generation is opting for jewelry that defines their unique style, fits with their personalities, and defines their individual style. The Gen Zs and millennials are acquiring diamond jewelry for its versatility, wearability, and multifaceted purpose. Simple, modern designs are gaining traction, although solitaire natural diamonds continue to remain strong favourites. The demand for transparency, ethical sourcing, and environmental responsibility has also reshaped the diamond market.

We believe consumers will continue to spend on bespoke and niche jewelry that conveys a strong emotional bond. In India, the market for diamond jewelry has remained steadfast and has grown to be an essential component of the country’s ethos and culture. Fueled by rising disposable income, fast urbanization, e-commerce, and digitalization, and customer preference for investing in jewelry and gems, the market is expected to grow significantly in the near future. Also, diamond acquisition rates in India are well below those in mature markets, which provides a significant opportunity to catalyse further growth for natural diamond jewellery in India. The allure of diamonds is eternal, and we believe that the natural diamonds will continue to shine in 2025 and beyond.”

Mr. Colin Shah (MD Kama Jewellery):

Colin Shah

“Gold has seen a stellar rally this year delivering over 20% returns, which is higher than the benchmark indices such as Nifty 50 and S&P 500. This is the third consecutive year wherein gold has delivered returns in double digit. In terms of CAGR growth, the yellow metal has provided nearly 10.5% of CAGR growth in a decade.

The key reasons driving this rally of gold can majorly be attributed to the prolonged geopolitical tensions in the Middle-East and between Russia-Ukraine which again escalated in H2 2024. This boosted the long term appeal of the yellow metal, which provided support to its prices. Another reason is the anticipations pertaining to rate cuts by Fed, which further added sheen to the yellow metal.

As we enter the new year, we expect the robust rally of gold to continue in 2025. The geopolitical tensions will continue to push gold prices upwards. However, stronger USD may pull gold prices downwards. For Commex gold, the level of USD 3000 is still on the cards, whereas for MCX, it is expected to hit the level upwards of INR 85,000.”

Mr. Suvankar Sen (Executive Director of Senco Gold & Diamonds):

Year-Ender 2024 Highlights:
“This year, we have witnessed a positive trend in gold buying despite market fluctuations. While rising gold prices have reduced volumes by 4-5%, we expect a value growth of 12-15%. Modern lightweight sleek Deisgns are in demand alongside traditional ones. However, there is more use of coloured gemstones and pearls as trends for this season .One of the major highlights this season was weddings, this year’s wedding season helped us to produce Rs 5.9 lakh crore in revenue with 48 lakh weddings. Delhi was the market likely to play a key part, with 4.5 lakh weddings projected to take place in the capital alone. For Senco Gold and Diamonds, 2024 was a year of remarkable milestones. Aggressive retail expansion through the opening of new stores at strategic locations enhanced accessibility for customers, while the launch of iconic collections celebrated India’s rich heritage and craftsmanship, resonating with diverse sensibilities.

Outlook for 2025:
Looking ahead to 2025, we anticipate transformative trends that will redefine the industry. For Senco Gold and Diamonds, the focus will remain on expanding our reach, launching designs that blend tradition with modernity, and amplifying sustainability efforts. As design trends evolve, we foresee a continued shift toward minimalist yet statement-making pieces, personalized jewelry, and a growing demand for versatile collections that can transition from day to night. Consumer engagement will also be at the forefront, with increased emphasis on digital experiences, virtual try-ons, and personalized services that cater to the evolving preferences of younger, tech-savvy buyers. Despite potential challenges such as economic fluctuations and regulatory changes, we are confident in turning these into opportunities for growth and differentiation, ensuring our legacy shines even brighter in the coming year.

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